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The impact of human resource management HRM practices on organizational performance has been subject of discourse among social scientists from a wide range of disciplines in the last two decades. But unfortunately, very insufficient number of studies in this area has been conducted in Nigeria and other developing countries.
This study was undertaken to fill this obvious research gap. Data collected were analyzed using Pearson product moment correlation and t-test analysis. The study found that there is a significant relationship between HRM practices and organizational performance.
As predicted, the study revealed that human resource management practices exert positive and statistically significant impact on organizational performance. Requisite conclusion and recommendations were provided in the light of theoretical and empirical findings. With this study, we hope to contribute to a better understanding of the role of HRM practices in creating and sustaining organizational performance, specifically in the Nigerian context.
Introduction The ultimate goal of a business organization is higher financial performance or maximization of wealth for the stakeholders [ 1 ]. Organizational performance is generally indicated by effectiveness whether an organization can achieve its objectives , efficiency whether an organization uses resources properly , satisfaction of employees and customers, innovation, quality of products or services, and ability to maintain a unique human resource pool [ 3 ].
Employees and their collective skills, abilities and experience, coupled with their ability to deploy these in the interest of the organization, are now recognized as making a significant contribution to organization growth and success and as constituting a major source of competitive advantage [ 4 ].